State Program to Support Beekeeping Agricultural Co-operatives

State Program to Support Beekeeping Agricultural Co-operatives

Article 1. General Provisions

This State Program to Support Beekeeping Agricultural Cooperatives (hereinafter referred to as the Program) is one of the measu///res to support the agricultural cooperation development carried out for the purposes of establishing the modern technologies in the primary production of honey and other beekeeping products in Georgia

The Program aims to improve the material-technical base of agricultural beekeeping co-operatives and to increase the quality and quantity of honey and other beekeeping products.

The Program objective is to carry out the capital investment for agricultural cooperatives and to raise qualification of cooperative members.

Article 2. Definitions

a) Beekeeping agricultural cooperative (hereinafter the Cooperative) – a legal entity which is engaged in agriculture and has been granted a status of the agricultural cooperative in compliance with Georgian Law

b) Applicant – a cooperative submitting an application for program participation

c) Participants – the cooperative, with which the relevant contract is concluded on program participation.

d) Contract – the contract concluded with the Participant which defines the obligations to be fulfilled by the Participant before and after capital investment and technical assistance.

e) Global GAP – Global Good Agriculture Practice – international standard that provides integrated management and food safety in the primary production through imposing control.

Article 3. Assistance to be carried out within the Program

The Program will provide capital investment and technical support in buying bee hives

To be eligible for the Program participation, the Cooperative shall meet the criteria of the article 7 and shall fulfill the obligations under the article 9 of the Program.

The Program covers the following components:

a) Capital investment

b) Technical assistance

The Geographical area of the Program covers the whole territory of Georgia.

Article 4. Information Campaign

The information about the Program shall be disseminated through the informational campaign which covers delivering information via media, face-to-face meetings with public or any other mechanisms.

The main goal of meeting with the population and the potential members of agricultural cooperatives is to raise their awareness about the main concept and principles of cooperation, the Program idea and participation procedu///res.

Article 5. Technical Support

The Participant will receive technical assistance with regard to establishing the main requirements of the Decree #714 of the Georgian Government on Approving Technical Protocol on Honey, issued on December 26, 2014.

The Participant has no right to refuse technical assistance and is liable to fulfill instructions and recommendations received through training and/or consultation within the whole period of the Contract validity. In other case, the Participant will not receive capital investment under the Program.

Article 6. Capital Investment

Within the framework of the Program, each Participant will receive the bee hives, in the amount of 30% of their cost by the rule established in Georgian legislation.

The Participants will receive the same number of bee hives that they have on their balance, but no more than 100.

The Implementer, in agreement with the Ministry of Agriculture of Georgia will provide registration of bee hives that are on the balance of the cooperative as well as hives received via capital investment.

Article 7. Terms and Conditions for Program Participation

Theright to participate intheProgram shall be given to the applicant that meets the following requirements:

a) The applicant is engaged in beekeeping field and is registered as a business operator by the rule established in Georgian Legislation

b) The applicant operates in compliance with the Georgian Law on Agricultural Cooperatives and the internal statute of the cooperative.

c) At the moment of submitting the application, the applicant has not received any recommendation on eliminating the defects or/and has received similar recommendation and has eliminated it.

d) The number of members in the villages, communities and settlements which are subject to the Georgian Law on Social Economic and Cultural Development of Mountainous Regions is no less than 5 in the mountainous areas and no less than 11 on other territory of Georgia

e) In cases where the members are the agricultural cooperatives, the number of members in villages, communities and settlements which are subject to the Georgian Law on Social Economic and Cultural Development of Mountainous Regions is no less than 3 in the mountainous areas and no less than 5 on other territory of Georgia

f) The applicant doesn’t have any tax obligations

g) The Applicant does not have any overdue credits against any financial institutions or other legal and/or physical entities.

h) In villages, communities and settlements which are subject to the Georgian Law on Social Economic and Cultural Development of Mountainous Regions, the applicant has no less than 30 bee hives (on balance) and the applicants in other parts of Georgia – no less than 60 hives.

In cases where the applicant meets the requirements of the paragraph 1 of this Article and proves this by submitting the relevant documentation, the Applicant will be notified about the decision on program participation in no later than 20 work days.

In cases where the applicant cannot provide the required documents in full, it will be given additional time, 5 days and the application will be reviewed in 10 work days after ///resubmitting the documentation.

The list of documents to be p///resented by the applicant will be defined by the Agency.

Article 8. Submitting the Application for Program Participation

The applications for Program participation shall be received within agreed deadline which is no later than 15 calendar days.

Article 9. Obligations of the Participant

The Participant shall be liable to:

a) Pay 30% of the cost of bee hives within the deadline agreed in the contract and in compliance with the rule of Georgian Law and the Contract.

b) Maintain the minimum number of members required under the sub-paragraphs “d” and “e” of the paragraph 1 of the article 7 of the Program within five years of the contract.

c) Before January 1, 2017, introduce international standard of Global GAP in the current beekeeping farm owned by the cooperative.

d) Before January 1, 2018, place new bee families in hives received through capital investment program.

e) Avoid alienation or pledging of any of the bee hives received through capital investment within five years after concluding the contract.

f) Avoid deleting the registration number on bee hives under its ownership (balance) and/or any kind of damage which will make it impossible to read the registration number.

In case the fact referred to in the paragraph “f” occurs, the Participant shall be liable to immediately notify the Implementer.

Article 10. Legal Consequences of Failure to fulfill the obligations undertaken by the Participant.

In case of failure to fulfill or/and improperly fulfill the Contract obligations by the Participant, the Implementer will give the Participant additional time but no more than 6 months to fulfill relevant obligations. The Participant shall be liable to eliminate any defects.

If the additional term given by the Implementer brings no ///results, the Contract with the Participant will be invalidated.

In case of termination of the Contract by the rule referred to in the paragraph 2 of this Article, the Participant shall be liable to refund the full cost of capital investment received though the Program in three-month period after the contract termination.

Article 11. Program Monitoring

The field or/and desk monitoring of performance of the Applicant and the Participant against the requirements of the article 7 of the Program shall be provided by the Implementer.

The field and desk monitoring shall apply to the Applicant as well as to the Participant at any stage of the Program implementation.

The Participant shall be subject to monitoring during five years.

Article 12. Program Implementer

The program is implemented by the LEPL Agricultural Cooperatives Development Agency under the Ministry of Agriculture.

The coordination authority of the program implementation is the Ministry of Agriculture of Georgia

Informational campaign within the Program frames shall be managed by the territorial organs of the Ministry of Agriculture within their competence, along with the Implementer.